Country could be passing through recession: Abhijit Banerjee
Nobel laureate and economist Abhijit Banerjee on Monday said the country could be passing through a phase of recession, and there is "nothing in the data" that suggests otherwise.
Banerjee, during an address at the Kolkata Literary Meet, also said the priority of the go nment should be on refinancing the banking sector, which is in "doldrums".
"What I can say is that we could be in a recession. But, I don't know by how much. There is nothing in the data that suggests we could not be in a recession," the author of 'Good Economics for Hard Times' said.
He also advocated imposition of wealth tax and more redistribution.
"Given the current state of inequality in India, a wealth tax is completely sensible. In such a case, more redistribution is required, and I expect this not to happen soon," Banerjee said.
The 58-year-old Indian-American economist said the banking and infrastructure sectors were in need of funding from the go nment.
"The banking sector is in doldrums. It needs huge funding by the go nment. The Centre should also look at infrastructure sector funding," he said.
Talking about the informal sector, the Nobel laureate said there is no reliable data on it. "The statistical apparatus is incapable of capturing short-term data on the informal sector."
Banerjee also favoured the central go nment's move to privatise PSUs like Air India.
On the recent cut in corporate taxes by the go nment, he said, "It seems the corporate sector is sitting on huge cash".
译文来源：三泰虎 http://www.santaihu.com/49262.html 译者：Joyceliu
Even financiers of this guy does not follow his advice. He is just a tool to make India a lab of west before west implements in their own countries.
No solutions offered. Appears to be only Critical
Redistribution of income and wealth presupposes adequate growth in the first place. Growth is stuttering and inequality between vast middle class (about 40% consisting of lower,middle and upper) and upper classes is widening rapidly.Govt continues to give doles to poor without enforcing their earning capacity. First rectify the systems and processes which create and widen disparity. Post facto redistribution of wealth should be secondary priority. Wonder,why Mr.Abhijit is not enumerating various areas which are contributing to income disparities.
These so called Noble award winners are the biggest jokers.
He is a mad person claiming to be economist like his bro Sen.
It is funny that this gentlemen always sees negatively India. He has not uttered single positive word. When India is in recession how FDI will improve and FIIs will invest. Even FPIs are upbeat about India growth. We don't want negative minded people to give non sense ideas like wealth tax etc.,which was abolished long back. As lot of middle class is owning more than one flat, wealth tax should not be there which will discourage housing sector.
All I know is that he is a Communist. Matter closed for me.
He is a co unist and in the US no one bothers about his theory of reviving it in India. He says India with a growth rate of 5% confirmed by World Bank and IMF is in recession negating the economic theory which says an economy with two quarters of negative growth is in recession. In India there is so much of fre m to talk rubbish and media to publish that this guy along with his co unist friend Amartya Sen spend all the time in India talking rubbish.
Imposing wealth tax at this time is outright silly and stupid looking at the state of the economy.
He should be more responsible with his statements and at least honor his stature ...
Abhijeet has right to express his opinion and get applauded by so called literary intectuals in kolkatta.
Kolkata was a business hub (and has finance knowledge, to the core). These idiots, made it a slum. Mumbai some how become industrial and SLUMS. So all these talks are nonsence and biased!
Mr Banerjee you are a US citizen and it is not wise to comment on internal working of foreign go nment. Take a citizenship of India and then comment on India's internal matters.
i don't see any symptoms. If India ia in recession then FDI would not have come on regular basis.Now Chinese firms are also investing heavily on start up .....Black money circulation has gone down due to GST and ED. That is effecting GDP figure but not life of common people. Do u want us to believe that Amazon chief is an Idiot? who without knowing or studying invested fresh funds and tht too in Billions ....are all are nuts?????
we don't see any symptoms of recession. these ups and downs are part of economics and are not happening for first time.
And of course there is no solution offered. Media seems to be giving wrong advice like tax cuts which never work in slow downs as people simply pocket savings as they are fearful of economy. Best thing to do is repair relationship with Gadkari and up spending on infrastructure which will create new jobs and productive assets - all of which boosts demand.
H K Doshi
Banerjee is old snake who will vommt poisons on India as and when opportunity available to him..
Sir: Mr. Banerjee just got Noble Prize analysing India's poverty. He must now SPEAK to news hungry reporters Let us allow him and CLAP.
Abhijeet Banerjee got Nobel price for " experimental approach to alleviating global poverty". It will be good if he gives comment in his specialized area rather than commenting on countries economy that too influenced by politics.
Shaleen Nath Tripathi
You: GDP Constant Prices in India is expected to be 38147.00 INR Billion by the end of this quarter in 2019 and 34427 INR Billion in 2018, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate GDP Constant Prices in India to stand at 38153.00 in 12 months time. In the long-term, the India GDP Constant Prices is projected to trend around 42465.00 INR Billion in 2020, according to our econometric models.according to the above data the INDIAN economy expended 10.8% in 2019 and would expand 11%% in 2020...
Shaleen Nath Tripathi
If inflation is 6% how there could be a slowdown... Recession is often market by a period of low demand and prices and high unemployment and low growth and vice-versa... A recent study shows that prices and growth are positively correlated... Low growth means low demand and low inflation and high growth means high demand and prices... INDIA is growing 5% every quarter and 20% every year...
But India is definately slipping into Stagflation.
Shaleen Nath Tripathi
6.1% unemployment rate is very good after disruptions like demonetisation and gst... 6% inflation would incentivise business during low growth rate... Stagflation is high inflation and unemployment... The RBI must consider tolerating 8% inflation during low growth... it would only make little difference... The US is doing the same considering higher inflation target... Higher inflation and lower and stable real interest rate expectation could help increase spending... Higher inflation target would lower interest rate, would increase spending, but not long delay in rate cuts and transmission by the commercial banks...
I think Abhijeet Banarjee was in hibernation earlier now has been waken up
Govindan T C
They are all Western-trained guys and do not know India's spiritual power. Baba Ramdev and Yogi Adithianath have shown that yoga's are more cable than Western-educated Indian Guys whose main aim is to get man-made prizes created out of the money obtained from nature destructive materiel and looting other countries. The Majority of Yogis are enlightened persons and know what is everlasting happiness. Some Yogis show their power openly and some people use it secretly as and when India needs help. So Modi Ji is getting brilliant suggestions from unknown sources on how to achieve a 5 trillion US$ economy. So Abhijit Banerjee should learn what is that spiritual power from Indian Yogis and what is the purpose of human life. Getting prizes and awards and enjoying life is not the purpose of human life. He does not know what is the purpose of human life.
他们都是受过西方教育的人，不知道印度的精神力量。Baba Ramdev和Yogi Adithianath已经证明，瑜伽比那些受过西方教育的印度人更有能力，他们的主要目标是用从破坏自然的材料和掠夺其他国家获得的金钱来获得人为的奖励。大多数瑜伽士都是开悟的人，知道什么是永恒的幸福。有些瑜伽士公开展示他们的力量，有些人在印度需要帮助时偷偷出手相助。所以莫迪从未知来源获得了如何实现5万亿美元经济的绝妙建议。所以班纳吉先生应该向印度瑜伽士学习什么是精神力量，人活一世的目的是什么。获得奖励和享受生活不是人类生活的目的。他不知道人生的目的是什么。
Murali Krishna Brahmandam
As long as Indian go nments: central and state, continue in India, Indian economy will be stay in recession. Governments must be shut down for better future for all
This bangali has been talking & commenting a lot since winning Nobel. Where have you been all these days/months/years dude?
The most important task is to control population and educate the pepole. The wealth at higher level isincreasing very fast. The only solution is give money to middle class for upliftment of economy.
he is right there was no need for corporate tax cut and wealth tax is necessary
its appreciated that he care so mucb about kids cough & fever (india banks) but Nobel Laureate Dr should focus on cancer of adults (US Banking). Adult's slow death is more dangerous to kids than seasonal fever.
INDIA IS IN RECESSION. SO ARE CHINA, EUROPE, AMERICA, JAPAN ETC ONCE BUBBLES POP IN STOCKS AND REALTY. BETTER PREPARE WELL AND RISE OUT. NO WORRIES. CHEERS